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DRIVING CUSTOMER LOYALTY:
MAKING EVERY INTERACTION COUNT
ACXIOM & LOYALTY 360 PROPRIETARY RESEARCH FINDINGS

LOYALTY EXPO 2012




Tim Suther, Acxiom Chief Marketing & Strategy Officer
March 18-20, 2012



© 2012 Acxiom Corporation. All Rights Reserved.
SURVEY METHODOLOGY

          ANNUAL REVENUE                                TITLES

 <$10MM                  22.5%   C-level                          14.0%
                                 VP or Director – Marketing       19.4%
 $11MM – 50MM            11.6%
                                 VP or Director – Sales           6.2%
 $51MM - $100MM          4.7%
                                 VP or Director – Operations/IT   3.1%
 $101MM – 500MM          17.1%   Manager – Marketing              29.5%
 >$500MM                 44.2%   Manager – Sales                  5.4%
                                 Manager – Operations/IT          4.7%
                                 HR                               1.6%

           SAMPLE SIZE           Other                            16.3%



                129                                   FOCUS
           RESPONDENTS           Business to Business             27.9%
                                 Business to Consumer             37.2%
                                 Both                             34.9%
MOST FIRMS UNDERINVEST IN RETENTION

  What % of employees are currently          What % of marketing is dedicated
  dedicated to customer retention?               to customer retention?
        70% ALLOCATE                                60% SPEND
       <20% EMPLOYEES                              <20% BUDGET
        FOR RETENTION                              ON RETENTION




 What challenges do you face regarding   What are your budget plans for retention
   data access in your organization?     over the next two years?

         52% - BUDGET
       49% - IT SUPPORT                    58% PLAN TO INCREASE
      48% - RIGHT TOOLS
UNDERINVESTMENT CREATES
SUBOPTIMAL INSIGHTS & SYSTEMS
        Measures in Use               Inconsistent Views to Members
         RFM: 64%                     CENTRAL ACCESS: 35%
         CLV: 51%                        360° VIEW: 41%
         NPS: 34%



  Poor Use of Emerging Signals           Leading to Mixed Results
 NO PLANS TO COLLECT:
OFFBRAND BEHAVIOR: 51%           NO RESULTS FROM ANALYTICS: 30%
     ONLINE: 30%                   RETENTION IS WORKING: 49%
     SOCIAL: 39%
THIS SHOULD DEEPLY CONCERN ALL OF US
     IN THE ERA OF THE EMPOWERED CONSUMER




Empowered consumers have unlimited choice & information
> Disrupts brands, loyalty, pricing, marketing, advertising.
> New strategies are required.




                                                               5
WHAT RETENTION MARKETERS WANT



 MOST IMPORTANT OUTCOMES TO IMPROVE RETENTION

 UNDERSTANDING CUSTOMER ATTITUDE/BEHAVIOR:                32%
 IMPROVING THE CUSTOMER EXPERIENCE:                       25%
 CREATING MORE RELEVANT MESSAGES:                         21%
 ANTICIPATE CUSTOMER NEEDS:                               13%


 MOST IMPORTANT MODELS TO HELP WITH CUSTOMER ENGAGEMENT
 ATTITUDE/BEHAVIOR             59%
 BRAND AFFINITY                46%
 PRODUCT PROPENSITY            41%
 CHANNEL PREFERENCES           41%
RECOMMENDATIONS


> Cultivate your proprietary insights

> Leverage the intersection of insights

> Think inside out

> And outside in

> Trust & transparency




                                          7
THANK YOU.




© 2012 Acxiom Corporation. All Rights Reserved.

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Driving Customer Loyalty - Tim Suther, Loyalty Expo 2012 #LE360

  • 1. DRIVING CUSTOMER LOYALTY: MAKING EVERY INTERACTION COUNT ACXIOM & LOYALTY 360 PROPRIETARY RESEARCH FINDINGS LOYALTY EXPO 2012 Tim Suther, Acxiom Chief Marketing & Strategy Officer March 18-20, 2012 © 2012 Acxiom Corporation. All Rights Reserved.
  • 2. SURVEY METHODOLOGY ANNUAL REVENUE TITLES <$10MM 22.5% C-level 14.0% VP or Director – Marketing 19.4% $11MM – 50MM 11.6% VP or Director – Sales 6.2% $51MM - $100MM 4.7% VP or Director – Operations/IT 3.1% $101MM – 500MM 17.1% Manager – Marketing 29.5% >$500MM 44.2% Manager – Sales 5.4% Manager – Operations/IT 4.7% HR 1.6% SAMPLE SIZE Other 16.3% 129 FOCUS RESPONDENTS Business to Business 27.9% Business to Consumer 37.2% Both 34.9%
  • 3. MOST FIRMS UNDERINVEST IN RETENTION What % of employees are currently What % of marketing is dedicated dedicated to customer retention? to customer retention? 70% ALLOCATE 60% SPEND <20% EMPLOYEES <20% BUDGET FOR RETENTION ON RETENTION What challenges do you face regarding What are your budget plans for retention data access in your organization? over the next two years? 52% - BUDGET 49% - IT SUPPORT 58% PLAN TO INCREASE 48% - RIGHT TOOLS
  • 4. UNDERINVESTMENT CREATES SUBOPTIMAL INSIGHTS & SYSTEMS Measures in Use Inconsistent Views to Members RFM: 64% CENTRAL ACCESS: 35% CLV: 51% 360° VIEW: 41% NPS: 34% Poor Use of Emerging Signals Leading to Mixed Results NO PLANS TO COLLECT: OFFBRAND BEHAVIOR: 51% NO RESULTS FROM ANALYTICS: 30% ONLINE: 30% RETENTION IS WORKING: 49% SOCIAL: 39%
  • 5. THIS SHOULD DEEPLY CONCERN ALL OF US IN THE ERA OF THE EMPOWERED CONSUMER Empowered consumers have unlimited choice & information > Disrupts brands, loyalty, pricing, marketing, advertising. > New strategies are required. 5
  • 6. WHAT RETENTION MARKETERS WANT MOST IMPORTANT OUTCOMES TO IMPROVE RETENTION UNDERSTANDING CUSTOMER ATTITUDE/BEHAVIOR: 32% IMPROVING THE CUSTOMER EXPERIENCE: 25% CREATING MORE RELEVANT MESSAGES: 21% ANTICIPATE CUSTOMER NEEDS: 13% MOST IMPORTANT MODELS TO HELP WITH CUSTOMER ENGAGEMENT ATTITUDE/BEHAVIOR 59% BRAND AFFINITY 46% PRODUCT PROPENSITY 41% CHANNEL PREFERENCES 41%
  • 7. RECOMMENDATIONS > Cultivate your proprietary insights > Leverage the intersection of insights > Think inside out > And outside in > Trust & transparency 7
  • 8. THANK YOU. © 2012 Acxiom Corporation. All Rights Reserved.